Hertz ready to go public, paper says
After buying auto rental company from Ford only months ago, private equity firms eye IPO, according to report.

NEW YORK (CNNMoney.com) -- In what is expected to be one of the largest IPOs of the year, Hertz Corp., which was bought from Ford late last year by three private equity firms, is said to be preparing registration papers for its market debut, according to The Wall Street Journal.

Hertz's owners, the Carlyle Group, Clayton Dubilier & Rice Inc., and Merrill Lynch Global Private Equity, bought it for $2.3 billion last year in addition to taking on $13 billion in debt from Ford (Charts), the newspaper reported.

The firms, which have already earned back nearly half the cash, are seeking to "flip" their property while the debt and equity markets remain generous.

The car rental industry, too, has been doing well, profiting from a healthy spring and summer travel season. Hertz turned in an 8.9 percent revenue increase in the first quarter, rising from $1.64 billion to $1.79 billion.

Private equity firms typically hold on to investments for years but will take advantage of quick returns if the market allows, the Journal reported.

_____________________

Related: IPOs: Don't fear 'The Flip' Top of page

YOUR E-MAIL ALERTS
Follow the news that matters to you. Create your own alert to be notified on topics you're interested in.

Or, visit Popular Alerts for suggestions.
Manage alerts | What is this?

Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer. Morningstar: © 2018 Morningstar, Inc. All Rights Reserved. Factset: FactSet Research Systems Inc. 2018. All rights reserved. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2018 and/or its affiliates.

Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer. Morningstar: © 2018 Morningstar, Inc. All Rights Reserved. Factset: FactSet Research Systems Inc. 2018. All rights reserved. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2018 and/or its affiliates.